According to statistics released today by the Monetary Authority of Macao, new approvals of residential mortgage loans (RMLs) increased whereas those of commercial real estate loans (CRELs) decreased in November 2016. With regard to the outstanding balance, RMLs and CRELs both increased mildly.
New lending approved
In November 2016, new RMLs approved by Macao banks increased by 57.1% month-to-month to MOP4.5 billion. Of which, new RMLs to residents, accounting for 78.2% of the total, increased by 25.5% to MOP3.5 billion. The non-resident component surged by 1,505.6% to MOP983.0 million, mainly attributed to larger loan size recorded for a number of approvals to enterprises. When compared with the same period of 2015, new approvals of RMLs increased by 84.9%.
New RMLs collateralised by uncompleted units (i.e. equitable mortgage) decreased by 4.4% from the preceding month to MOP257.7 million. The equitable mortgage extended to residents, which accounted for 97.3% of the total, decreased by 4.6% from the previous month. On an annual basis, new equitable mortgage approved dropped by 35.6%.
New CRELs shrank by 67.1% month-to-month to MOP2.0 billion; of which, new CRELs to residents, accounting for 97.7% of the total, decreased by 67.9%. In contrast, new CRELs to non-residents soared by 1,457.0% from a lower comparison base in the previous month to MOP47.4 million. On an annual basis, new approvals of CRELs declined by 51.1%.
Outstanding balances
As at end-November 2016, the outstanding value of RMLs was MOP179.6 billion, an increase of 0.6% from the previous month or 5.3% from a year ago. The resident component made up 93.6% of the total. When compared with the previous month, outstanding RMLs to residents and non-residents increased by 0.4% and 2.1% respectively.
The outstanding value of CRELs was MOP173.1 billion, up by 0.9% month-to-month or 6.4% when compared with a year ago. Residents accounted for 89.2% of the loans. Compared with a month earlier, outstanding CRELs to residents and non-residents increased by 1.0% and 0.7% respectively.
Delinquency ratios
At the end of November 2016, the delinquency ratio for RMLs was 0.17%, up 0.02 percentage points from a month ago or 0.08 percentage points from a year ago. The ratio for CRELs was 0.11%, up 0.02 percentage points from one month earlier or 0.04 percentage points from end-November 2015.